AFL announces major changes to soft cap

[GVGjr]

AFL announces major changes to soft cap

AFL clubs have been given a major funding boost for season 2024, including the provision that 20 per cent of a senior coach's salary now sits outside the soft cap.

The league on Thursday afternoon announced a soft cap expanded by an additional $250,000. Clubs will also be able to spend more on a senior coach to recognises the prominent role Senior Coaches have as leaders and ambassadors for their Clubs and the code, a league statement said.

With the senior coach provision, some clubs could have their soft cap expanded by upwards of $400,000.

There have also been changes to the luxury tax, meaning clubs who go over the soft cap by less than $1 million won?t be penalised as much as in past seasons.

Staff relocation deductions and clubs ability to carry forward up to $100,000 of unspent soft cap room to the following year have also been announced.

It's one of CEO Andrew Dillon's biggest moves since officially taking office in late October.

Following on-going discussions with Club Presidents, CEOs, Senior Coaches and Clubs, I am pleased to announce we have addressed a number of challenges and themes surrounding the soft cap, Dillon said in a statement.

The changes are aimed at providing more flexibility and support as we continue to return back to a position more reflective of pre-covid times.

The establishment of the Senior Coach deduction recognises the prominent role they play as leaders and ambassadors for their Clubs and the sport. We know this was important and we worked closely with the Senior Coaches to achieve the best outcome we could for 2024.

The changes are welcome ones for clubs, who have been crying out for more assistance with assistant coaches and football department staff.

It comes after the league reported an operating profit of $20.7 million in 2022.

[GVGjr]

You have to wonder why the AFL has set-up this type of discount for the Soft Cap rather than just applying say a 5 or 10% increase across the board to the soft cap.

Is it to specifically help North and the Suns better cover their high priced coaching appointments?

[Grantysghost]

You have to wonder why the AFL has set-up this type of discount for the Soft Cap rather than just applying say a 5 or 10% increase across the board to the soft cap.

Is it to specifically help North and the Suns better cover their high priced coaching appointments?

Think you've nailed it.

[Go_Dogs]

You have to wonder why the AFL has set-up this type of discount for the Soft Cap rather than just applying say a 5 or 10% increase across the board to the soft cap.

Is it to specifically help North and the Suns better cover their high priced coaching appointments?

Gosh that’s cynical…!

[GVGjr]

Gosh that’s cynical…!

I guess so but it's an interesting determination that the AFL came to. It's generally acknowledged that the competition is losing some good footy people since the cap was introduced and I would have thought some simple increases to the cap would try and address that but the AFL implemented a very specific senior coach only option as the part of the overall solution. Option is the key word. We aren't losing senior coaches because of a lack of money though.

It could have been a fixed amount increase, like 400K, that clubs could have used whatever way the wanted to.
It could have been a fixed % increase, like 5%, so that clubs could have added more staff or increased the pay for some staff.

Instead the AFL went for a solution that allowed the clubs the option to move up to 20% of the senior coaches salary out of the soft caps calculation.

The clubs with potentially the highest paid senior coaches are likely to be North Melbourne, Gold Coast and West Coast who have all had their challenges. North struggling to find a good coach land Clarkson who would be on massive coin, then the AFL looked at some sort of ambassadors allowance to help GCS land Hardwick which of course would have been challenged by other clubs and if West Coast is to make a move on Simpson who has the watertight contract has the AFL just helped them in that endeavor?

If I go back to when COLA was introduced I actually thought the concept had some merit of helping out some of the players on smaller contracts manage the spiraling rent increases but instead of targeting those players for assistance it gets used as a way of bringing one of the highest profiled players in Buddy Franklin to Sydney.

I know there were some other changes and that will be welcomed by all clubs but the ones with the highest paid senior coaches certainly benefit the most.

[Go_Dogs]

I should’ve added a smiley face to my post, because I think you’re absolutely right with their intent. Gives some clubs a much bigger free kick than others if there’s no cap on the 20%. There are rumours Bevo signed on for much less than he could’ve demanded in order to avail more soft cap for others too, so we’re probably at the low end of benefitting from this.

[GVGjr]

From Cal Twoomey

Clubs have until Friday to return feedback to the AFL on its competitive balance review.

They've been sent a survey on Academies, NGAs, draft points system, future picks, pick purchasing, list sizes, talent pathways, father-sons & growing Indigenous pool.

I hope this changes the academy rules so that clubs can match bids after the first round rather than after #40 and addresses increases in list sizes and the soft cap.

[MrMahatma]

You have to wonder why the AFL has set-up this type of discount for the Soft Cap rather than just applying say a 5 or 10% increase across the board to the soft cap.

Is it to specifically help North and the Suns better cover their high priced coaching appointments?

Maybe, but I kinda like it. Senior coach is a tough gig, and in many ways having 20% of their wage outside the SC means they're more likely to get a higher wage. Not saying they aren't doing OK with $ - but it's a full on job and they deserve every cent they get.

[Hotdog60]

They've had a chat to the Weagles so they can offer Bevo a hail mary contract that he can't refuse.